Business Policy: Case Study Vegas, Mica Elijah A. BIBS Marketing Management 3 Study Questions and Answers: 1 . ) Given the corporate identity of San Miguel Corporation as well as the nature of its core businesses, what are possible “new opportunities” that the company can venture into, and why? Answer: New opportunities usually mean In the Oxford dictionary as a favorable or advantageous circumstance or combination of circumstances, It also means a chance for progress or advancement, as In a career.
But new opportunities for me, as for cuisines purposes, basically mean that there are new products to sell in the Philippine industry. Something for people to look after to, after all the products that they have built in for people to look forward to within their company’s reach. For me, as a Marketing student, I’m thinking of building Ism’s name in the school supplies industry against all other top earning bookstores Like National Bookstore, and other top earning school supplies manufacturer In the whole Philippines.
I chose this as their new opportunity to enter in for their new company image and profile that people will surely look after to, as every company needs to offer new opportunities for people who are consumers for it will be a one stage upgrade for the company’s sales and popularity in a certain field of products to be marketed. It will surely be going to be helpful for the San Miguel Corporation for they are only known for the food and beverage Industry (as for what I know), It will be a new field of business marketing for them for their target customers are surely everyone like students, office workers and employees, which surely are everyone. ) What criteria should be used by San Miguel Corporation in acquiring new business units? I thought of these criteria as my own basis for acquiring new business units based from what I read from some articles. Here are the following criteria I personally choose: a. Capital If you start a new business, you will be creating all of these things yourself, something that can take a lot of time, during which you may not be earning much money. The higher price that you pay for an existing business can be recouped through higher profits. B. Personality
To succeed at running a business, you need to be motivated, organized and ambitious. Determine whether you would be more satisfied building something new or buying something that already exists to gain insight into your own strengths and motivation. Others exhibit the opposite tendency, wanting to run a business but being Intimidated by the Idea of starting one. C. Opportunities The state of the market may determine the type of business you start. If the public isn’t buying, it doesn’t matter how incredible you think the idea is. If you’re looking or business success, identify a public need or desire and fulfill it.
This is easier to do when you purchase a business that already exists. You can look at a proven track record before buying the business and be much more certain of success than if you’re starting your own business. 3. ) Assess the reorganized structure of San Miguel corporation as outline above. For Instance, winy a “coastguard Walton a colossal set up, as was the case with Philippine Beverage Partners (Philippe), rather than a direct San Miguel Corporation subsidiary? Why not transform San Miguel Corporation onto a holding company instead?
First of all, A subsidiary is a company whose voting stock is more than 50% controlled by another company, usually referred to as the parent company or holding company. A subsidiary is a company that is partly or completely owned by another company that holds a controlling interest in the subsidiary company. If a parent company owns a foreign subsidiary, the company under which the subsidiary is incorporated must follow the laws of the country where the subsidiary operates, and the parent company still carries the foreign absurdity’s financial on its books (consolidated financial statements).
So for me, having the decision of San Miguel Corporation to have the “subsidiary within a subsidiary’ is a one big risk they have taken, for they have surely thought of the outcome for this decision to have Philippine Beverage as their subsidiary for it well surely help San Miguel Corporation to have other products to be sold to the market like the incorporated drinks that will be out for sale. For Philippe is known for being a subsidiary that is formed under Coca-cola Bottlers Philippines Inc. And is the subsidiary of ICP